Market Nuggets

Analysts: Gold ETF Holdings Rise For 12 Straight Business Days

Holdings of gold by global exchange-traded funds have now risen for 12 straight business days, analysts report. The ETFs trade like a stock but track the price of the commodity, with metal put into storage to back the shares. Commodities brokerage SP Angel reports that ETFs added 112,781 troy ounces to their holdings in the last trading session, taking total accumulation to 74.7 million ounces. Commerzbank notes that holdings have increased by 45 tonnes since the start of the month.

Epstein: ‘The Current Formation In Silver Is Bullish’

Friday April 20, 2018 08:05

The technical-chart formation in Comex silver futures is bullish, says a research note from the Ira Epstein division of Linn & Associates. “July silver initiated new upside PriceCounts this week when it moved above $16.95,” says the firm. The first upside PriceCount of $17.46 was nearly met Thursday as prices hit a high of $17.425. The second objective is $17.90, which also coincides with the high seen in January. “Upside PriceCounts remain in place as long as July futures do not trade below $16.49,” Epstein says. “The current formation in silver is bullish not only because new upside PriceCounts been activated, but also because an inverted head-and-shoulders bottom has formed. Pullbacks into the February and March highs offer a zone for traders to consider new bullish options strategies.” As of 7:55 a.m. EDT, Comex July silver was trading down 12 cents to $17.185 an ounce.

SP Angel: Gold Headed For Weekly Loss

Friday April 20, 2018 08:05

Gold prices are headed for their first weekly loss in three as global political tensions wane and the U.S. dollar rises amid improving risk sentiment, says commodities brokerage SP Angel. As of a research note, the Bloomberg dollar spot index was up 0.6% this week, keeping pressure on gold and prompting some traders to take profits. “The U.S. economy has remained on steady growth, which has assured the Fed it should stick with its current pace of rate increases,” SP Angel says. “Political risks have slightly faded as U.S. President Donald Trump said he hoped a summit with North Korean leader Kim Jung Un would be successful following CIA Director Mike Pompeo’s surprise arrival in country. The summit also hopes to build on North Korea’s expressed commitment to ‘complete denuclearization’ of the Korean peninsula.” Further, the U.S. did not make new demands on trade following a summit with Japanese Prime Minister Shinzo Abe. “However, gold remains a ‘value’ buy as uncertainties remain over U.S. monetary policy direction, unanswered geopolitical tensions and underlying trade protectionism threats,” SP Angel says. As of 7:56 a.m. EDT, Comex June gold was down 0.4% for the week so far to $1,342.90 an ounce.

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